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PACKAGE MANAGEMENT
January/February 2018 StudentHousingBusiness.com
68
tions when it comes to this issue."
Petersen says.
Also hotly debated is whether to
pass on the cost of package man-
agement and delivery to students.
The Preiss Company is rolling out
a new beta package delivery ser-
vice in the first quarter of 2018.
The service will notify residents
that they have a package through
The Preiss Company's mobile
app, then prompt them to choose
whether they would like the pack-
age delivered to their door for a
small fee.
"This will allow residents who
may not be able to pick up their
package during business hours
to ensure their package is deliv-
ered to them on demand," Byrley
says. "This service will also drive
ancillary revenue for our prop-
erties and provide an additional
concierge type service for our resi-
dents. We've yet to see anyone
else in the industry offer this, and
we're excited to be on the cutting
edge of package technology."
Byrley says The Preiss Company,
which views its role in the chain of
delivery as a conduit between the
carrier and the resident, includes
its packages policies as an adden-
dum in every resident's lease
agreement.
Scott Duckett, chief operat-
ing officer of Campus Advan-
tage, says his company's role and
responsibility to get packages into
the hands of residents has evolved
exponentially in the past couple
of years. At a handful of proper-
ties, Campus Advantage has intro-
duced automated package rooms where carriers access and leave
packages, and students come and
pick them up themselves at any
hour of the day. Duckett says the
goal is to have this service at all of
its properties within the next six to
12 months.
"We view this as an amenity we
offer because it is such a big part of
our resident-staff interaction," he
says. "It's something that we can
tout to our residents and have it be
part of a sales process."
Duckett says Campus Advan-
tage is currently evaluating the
viability of a package or mail ser-
vice fee.
Storage space is another concern
in the package-delivery lifecycle
— all these incoming parcels have
to be placed somewhere until resi-
dents can pick them up. Whether
that's a locker, a room or the front
office, package storage eats up
square footage.
"Having enough physical space
to accommodate the large volume
of packages remains an issue at
some properties," Petersen says.
"Most newer communities take
into account the need for a des-
ignated storage area for mail and
packages, but many older com-
munities did not plan for the same
considerations. For new builds,
this means thinking about the
physical space that a communi-
ty will need to store packages, as
well as underwriting that staffing
and software costs are factored
into the budgeting process."
"We have really had to change
how we feel about storage and
how we divide our staff in the
buildings to best meet the needs
of the students more efficiently,"
Callison adds. "For example, we
try to build a receptionist desk in
our lobbies so tenants can request
their package there as opposed to
entering our leasing office and dis-
turbing our leasing staff."
He offers others faced with
package holding and distribut-
ing issues the following advice:
"Ensure you are maximizing stor-
age in your leasing offices and
treating this challenge like the
customer service opportunity it
is. Many students don't think of
package systems as an amenity,
but with so many packages being
delivered daily, finding an elegant
solution could not only free up
your staff but also deliver an ame-
nity that will be used by 100 per-
cent of your tenants."
Solutions to ease the burden of
that final phase of delivery — the
last mile — are being explored
in many industries today, not just
student and multifamily housing.
Oliver anticipates the future will
bring about more last-mile tech-
nologies. She also foresees a time
when there's a conscientious shift
in buying behavior.
"I think we're going to see more
cultural changes because of the
environmental side of this," she
says. "How can you justify having
so many things delivered? Do you
really need an Amazon delivery
for an ink pen? All those pack-
ing materials and driving several
miles to get it to you? I think there's
going to be a lot of light shined on
that in the next few years." SHB
Latch provides keyless access systems and promotes its products as tools
to help managers more easily allow package deliveries.
GREYSTAR PARTNERS WITH AMAZON
In July 2017, Amazon announced a new service called The Hub, a
package locker system aimed at multifamily communities. Owner-
operators using the lockers include AvalonBay Communities, Bozzuto
Group, Equity Residential and Greystar. Greystar says Amazon will
install The Hub systems at both its conventional and student proper-
ties. The locker systems are already operational at several properties.
Modular lockers engineered to fit specifically into apartment spaces,
Hub holds packages delivered by any carrier (and from any sender —
not just Amazon) and sends residents a message with an access code
once the package is delivered.
Greystar says it will install the lockers at approximately 125 conven-
tional and student sites over the next few months. New, ground-up
projects and renovations are typically easiest, says Greystar's Michelle
Fuller, managing director of real estate, but she adds there are ample
opportunities at existing properties as well.
From the apartment management perspective, Hub is self-sufficient.
It excuses Greystar staff from the package acceptance and distribution
process and offers 24/7 customer support, which will allow residents
and on-site teams to contact Amazon directly with any delivery con-
cerns. Fuller says Amazon has a carrier management team to work
through any issues, including failure to pick up packages or damages
to lockers.
Amazon provides consultation and recommendations regarding
proposed locations on property, prior to installation. The lockers have
to be placed in an area that is accessible 24/7, and they must include
Braille keypads. Locker sizes are customized based on the size of the
property and its volume and typical weight and size of packages.
"Amazon conducted a study and indicated that an average apart-
ment community receives about 15 packages per 100 units," Fuller
says. "This volume can take a staff up to three hours a day in manag-
ing their package-management system. Student communities are see-
ing even more efficiencies since the package volume can be consider-
ably higher."
Fuller says Greystar likes Amazon's offering because it allows site
teams to focus on customer service and other core needs and not
spend all day sorting and delivering packages.
"There are also intangible benefits, such as providing package ser-
vice 24/7, improved customer relations and overall operational effi-
ciencies." —Lynn Peisner